Property Keyed to Rabin
Reed v. King
CaseCast™ – "What you need to know"
Reed (Plaintiff) purchased a home from King, unaware that a woman and her four children were murdered there ten years earlier. King and his real estate agent (Defendants) were aware of this but did not disclose it to Plaintiff because they felt the event would materially affect the value of the home. They even asked neighbors not to tell Plaintiff about the murders. Plaintiff later found out about the murders and sued Defendants for rescission and damages. Plaintiff paid $76,000 and alleged that the home was worth $65,000 because of the murders. The trial court dismissed the complaint for failure to state a cause of action because there was no concealment of a material fact. Plaintiff appealed.
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